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How to refurbish all buildings by 2050
FSR Annual Brussels Conference November 13, 2012
Leonardo Meeus
www.florence-school.eu
Background THINK Report #7
“How to refurbish all buildings by 2050“ (Published in June 2012)
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Project leader: Péter Kaderják Research team: Leonardo Meeus, Isabel Azevedo, Péter Kotek, Zsuzsanna Pató, László Szabó, Jean-Michel Glachant
www.florence-school.eu
How to refurbish all buildings by 2050 Introduction
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• 36% greenhouse gas emissions within the EU • 40% of final energy consumption within the EU
Why buildings?
• Target is to have low carbon buildings by 2050 • Most of the buildings that are around today, will still be in 2050
Why refurbishment?
• What are the trade-offs? • What are the policy options?
Why THINK?
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Trade-offs in building refurbishment Introduction
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• Accelerate renovation of the building stock • Refurbish buildings
First trade-off
• Refurbish more buildings • Refurbish buildings more ambitiously (i.e. “deeper”)
Second trade-off
• Do more now • Do more later, i.e. wait for technological developments
Third trade-off
• Reduce energy consumption of buildings • Convert to electricity • Integrate renewable energy generation
Fourth trade-off
www.florence-school.eu 5
Trade-offs in building refurbishment Main findings
• Need to significantly increase both refurbishment “rate” and “deepness”
• “Deepness mix” will continue to exist
• Significant differences between different member states • In terms of building stock and usage of these buildings
• 600-1800 billion euro to be invested • Most of it expected to come from private building owners and users
www.florence-school.eu
Policy options Introduction
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• Improving the awareness of market players • Market organization
Market facilitation
• Financing mechanisms
Public support
• See next slide
Regulatory instruments
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Regulatory instruments Analytical framework
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MATERIALS PRODUCTS
DECISION TO REFURBISH
PERFORMANCE USAGE REFURBISHMENT
PRICE incentives Guides actors towards the right decisions
Regulation of ACTORS
Prompts action
Regulation of INPUTS
Prevents wrong
decisions
Regulation of OUTPUTS
Rewards/punishes right/wrong
decisions
www.florence-school.eu
Policy options Main findings
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• Not enough to reach the target because expected investments that are beneficial for society, are not economical for private actors
Market facilitation
• Not enough to reach the target because massive investment needed in a context with strong public budget constraints
Public support
• Required, if we take the target seriously
Regulatory instruments
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Regulatory instruments Role of EU institutions
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• National building refurbishment targets • National building refurbishment action plans
Ensuring commitment at national level
• See next slide
Facilitating the implementation of regulatory instruments
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Regulatory instruments Recommendations for EU institutions
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• Abolish end-user regulated prices for electricity and gas • Internalize the cost of carbon into the building refurbishment decisions
Price incentives
• Continue to widen and strengthen technology standards and labeling of building refurbishment technology, products and materials
Regulation of inputs
• Create an EU energy performance certificate scheme for buildings
Regulation of outputs
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Regulatory instruments National energy performance certificate schemes for buildings
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www.florence-school.eu 12
Recommendation Bonus
Berlaymont Constructed 1963 Renovated 1991-2004
Henri Spaak Constructed 1990